Inflation unchanged at 5.16 pc, bare essentials costlier
New Delhi: Inflation was unchanged at the previous week's level of 5.16 per cent for the week ended October 7, despite increase in prices of basic commodities essentials such as pulses, atta, sooji, maida, edible oils and electricity. The wholesale price based inflation was at 4.88 per cent in the corresponding week last year.
Back to News Review index page  

Uniform tax regime by 2010
New Delhi: The path has been cleared for the roll out of a uniform goods and services tax (GST) regime from 2010. The Planning Commission has also broadly endorsed the finance ministry's view in the approach paper to the 11th Plan document. With the Plan Panel going by the finance ministry's recommendation regarding the rollout, the issue is likely to be added to the reference of the empowered committee of state finance ministers, working on the implementation of VAT across the country to replace sales tax.
The committee is expected to work out the modalities of introducing the tax.

The GST roadmap is linked to the successful implementation of the time line for the Fiscal Responsibility and Budget Management Act and the phaseout of the central sales tax before '10.
Back to News Review index page  

India-Pak trade on the upswing: could reach USD 2bn
Islamabad: Trade between Pakistan and India may hit the two billion dollar mark this year as 302 products have been added to the positive list of items by Islamabad for imports. According to estimates, the addition of 302 more items by Pakistan for bilateral trade constituted 1.332 billion dollars of its imports from global markets, a major part of which were expected to be diverted to Indian markets, a study said.

Pakistan had recently increased the list of products from 773 to 1075, constituting mostly industrial machinery, raw materials and its parts.

According to media reports in Pakistan, if it happens India would then become Pakistan's sixth largest trading partner after the US, the EU, China, Saudi Arabia and the UAE.

The enhancement of the positive list will also increase the scope of SAFTA between Pakistan and India, as more items will be considered for duty reduction under the agreement the report said.
Back to News Review index page  

No creamy layer in job promotions: SC
New Delhi: The Supreme Court while upholding the constitutional validity of reservations for SCs and STs in recruitments and promotions maintained the upper limit of quota at 50 per cent
and said that 'creamy layer' should be excluded from reservations for SCs and STs for promotions in government jobs.

The SC said, "It is made clear that even if the state has compelling reasons, the state will have to see that its reservation provision does not lead to excessiveness so as to breach the ceiling limit of 50 per cent or obliterate the creamy layer of extended reservation indefinitely.

The verdict is also significant in the context of demand from some political parties including the Left that the affluent, who are beneficiaries of the reservation policy, should be kept out of the quota ambit. Most Tamil Nadu parties, however, are in support of reservation for all beneficiaries without any economic ceiling.
Back to News Review index page  

CNG retailers may get 'limited period' monopoly rights
New Delhi: The Government may allow companies to have monopoly in retailing natural gas to households and CNG to automobiles for a 'limited period', to be decided on the basis of investment made, location and market growth. This is as the Natural Gas Pipeline and City or Local Natural Gas Distribution Networks policy wants firms to commit long term investments based on reasonable return through network tariff, along with some incentive for earning profit from gas sales through a limit ed period of marketing exclusivity.

The new policy is in line with the demand made by state- run firms such as GAIL and Indian Oil and multinationals such as British Gas (BG) but runs contrary to suggestions made by the Mukesh Ambani-run Reliance Industries and the Anil Dhirubhai Ambani Group.

RIL and ADAG plan to enter city gas distribution (CGD) business and are looking at cities, which already have an entity retailing natural gas or where other big players too have evinced interest.
Back to News Review index page  

Essential Commodities Act invoked in Delhi
New Delhi: The Delhi Government has invoked the Essential Commodities (EC) Act to check hoarding of essential food items which has led to spiraling prices of wheat and pulses. Exercising its power conferred under Section 3 of the EC Act, the Government has with immediate effect revived the Delhi Wheat (Licensing and Control) Order 1996 and the Delhi Pulse (Licensing of Dealer) order 1974 which were rescinded in 2002 and 2004 respectively.

As per the new order, dealers, retailers, manufacturers and wholesalers of all kinds of pulses and wheat having a certain minimum stock of the commodities have been directed to apply for licence and maintain stock limits as instructed.

In case of wheat, wholesalers cannot keep a stock of more than 500 quintals while retailers and 'atta chakkis' can keep a maximum quantity of 100 quintals.

For pulses, the maximum limit for wholesalers is 2,000 quintals, while for retailers it is 50 quintals. Those flouting the Act would be slapped with a fine and prison term.
Back to News Review index page